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Employer Cannot Attribute Commission Wages Paid in One Pay Period to Cure Shortfalls in Other Pay Periods

Published on August 11, 2014

On July 14, 2014, in Peabody v. Time Warner Cable, Inc. (Cal., July 14, 2014) ----P.3d----, 2014 WL 3397770, the California Supreme Court held that an employer cannot attribute commission wages paid in one pay period to cure shortfalls in other pay periods.  In that case, Time Warner paid its account executive on a biweekly basis, which included hourly wages in every pay period and commission wages approximately every other pay period.  The employee was paid $769.23 in hourly wages, the equiva...

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